Arteriocyte, a commercial stage biotechnology company based in Cleveland, Ohio, has recieved $4.99 million from Ohio Third Frontier Commission’s Research Commercialization Program to expand clinical applications for its products. The company has received venture backing from DW Healthcare Partners.
Arteriocyte announced today a $4.99 Million award from the Ohio Third Frontier Commission’s
Research Commercialization Program. The award will be used to expand clinical applications for
Arteriocyte’s commercially available Magellan Platelet Rich Plasma (PRP) and bone marrow derived
stem cell product “STEM-PREP” and will further the company’s development of its NANEX stem
cell expansion technology for Blood Pharming.
Arteriocyte’s collaborators in the program include Ohio’s top research based institutions including
Cleveland Clinic, the Ohio State University, the University of Toledo, Case Western Reserve
University and University Hospitals Case Medical Center. In addition, Arteriocyte is leveraging
world-renowned expertise from the Johns-Hopkins University, Harvard Medical School, Tufts
University, and the University of Utah to enhance its Ohio-based development.
“Arteriocyte’s award represents the best of what Ohio Third Frontier contributes to advancing
commercialization of novel technologies here in Ohio,” Lieutenant Governor Lee Fisher said. “In less than four years Arteriocyte has grown from its first employee to twenty-four, transitioning from an innovative idea into a commercial stage company with significant and sustainable economic impact in Ohio.”
The award will be used to broaden Arteriocyte’s Magellan medical device platform, a rapid bedside
stem cell and platelet concentration technology. The company is developing Magellan STEM-PREP
to allow physicians to create a concentrated unit of therapeutic stem cells and platelets from a
patient’s own marrow in the operating room during a surgical procedure. Support from Ohio Third
Frontier will enable to Arteriocyte to execute multiple clinical trials focused on Magellan STEMPREP
in the treatment of Critical Limb Ischemia and Cardiac Disease, and antibiotic-coupled
Magellan PRP for the prevention of Surgical Site Infections.
Additionally, funding from Ohio Third Frontier will enable Arteriocyte to launch its clinical scale
therapeutic stem cell expansion NANEX technology, which the Company in-licensed from Johns
Hopkins. Arteriocyte is transferring the manufacturing of NANEX into its Cleveland Research and
Development Center and is developing the NANEX platform technology for use in Blood Pharming
in both acute and chronic care transfusion settings.
Arteriocyte’s CEO Don Brown stated, “Ohio Third Frontier represents ‘the Best of the Best’ that the
State of Ohio brings to supporting the growth of its biotech industry. A large part of our company’s
development success is a direct result of the support we’ve received from Ohio Third Frontier. To
date, we’ve been able to generate a 23 to 1 return on prior Third Frontier support and we expect to generate a 20 to 1 return on this current award. Ohio Third Frontier has been a great partner for us. Arteriocyte is thrilled to receive this current award and to continue our partnership with Ohio Third Frontier well into the future.”
Baiju Shah, CEO of BioEnterprise added that “Ohio Third Frontier has helped the state become a
world leading center for research and development commercialization, creating more than 500
companies and 7,757 direct jobs since being launched. For every one public dollar invested by the
program, nine dollars are created through follow-on investment by private and federal entities. In
addition, it has accelerated Ohio to a leadership position in health care venture capital. The
momentum created by Ohio Third Frontier to date demonstrates the necessity of ensuring the
continuity of this highly impactful investment program.”
Arteriocyte, a commercial stage biotechnology company with facilities in Cleveland, OH, Hopkinton,
MA, and Minneapolis, MN is developing proprietary stem cell therapies for human clinical
applications. Arteriocyte’s goal is to develop commercially available stem cell based therapies using
multiple sources of adult derived stem cells (marrow, peripheral, cord blood, and cartilage). In
October of 2007, Arteriocyte partnered with DW Healthcare Partners and Comerica to create
Arteriocyte Medical Systems Inc., in order to commercialize and distribute novel medical devices and point of care surgical solutions to improve patient outcomes. Today the Magellan system is in use in over 400 surgical centers worldwide.
About Ohio Third Frontier
Ohio Third Frontier, administered by the Ohio Department of Development, is committed to
expanding Ohio’s technological strengths and promoting commercialization that leads to economic
prosperity throughout Ohio. Designed to build world-class research programs, nurture early stage
companies, and foster the technology development that makes existing industries more productive, Ohio Third Frontier creates opportunity through innovation.